Kronholm v. Kronholm

547 A.2d 61, 16 Conn. App. 124, 1988 Conn. App. LEXIS 341
CourtConnecticut Appellate Court
DecidedSeptember 13, 1988
Docket5823; 6167
StatusPublished
Cited by27 cases

This text of 547 A.2d 61 (Kronholm v. Kronholm) is published on Counsel Stack Legal Research, covering Connecticut Appellate Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kronholm v. Kronholm, 547 A.2d 61, 16 Conn. App. 124, 1988 Conn. App. LEXIS 341 (Colo. Ct. App. 1988).

Opinion

Stoughton, J.

Both parties have appealed from post-judgment orders arising out of the financial orders made as a part of the judgment dissolving their marriage. We find error in part.

The issues presented in the plaintiffs appeal are whether the trial court erred (1) in interpreting the parties’ separation agreement as providing that the $190,000 lump sum alimony payment should go into a trust for the benefit of the parties’ children, rather than to the plaintiff outright, and (2) in finding that the terms of that agreement were not reasonably open to more than one interpretation, thus refusing to allow the presentation of extrinsic evidence and sustaining the defendant’s objection to an evidentiary hearing. The issues presented in the defendant’s appeal are whether the trial court erred (1) in denying the defendant’s [126]*126motion for a stay of proceedings and “application for first order of notice” to the parties’ children, where the defendant asserts that the children are indispensable parties to the litigation, and (2) in allowing the plaintiff ninety days after receipt of the lump sum alimony payment to establish a trust and in allowing the plaintiff earned income from the trust, where the defendant argues that such rulings were contrary to the parties’ agreement. With respect to this last claim, the plaintiff has cross appealed and argues that the trial court erred in failing to award the plaintiff interest that had accrued since August 30,1985, the due date under the terms of the parties’ agreement.

The following facts are relevant to this appeal. On August 30, 1977, the marriage of the parties was dissolved. By a lengthy stipulation which was incorporated into the judgment, they agreed on custody and support for the four minor children of the marriage. Paragraph 3 begins: “As lump sum alimony, and in lieu of all other claims of alimony, the husband shall pay . . . .’’Sub-paragraph (a) provided for payment of $25,000 within thirty days; subparagraph (b) provided for payment of $50,000 four years after the entry of the decree; and subparagraph (c) provided for payment of $190,000 eight years after the entry of the decree. Subparagraph 3 (l) is as follows: “In the event the wife shall die prior to the completion of the lump sum payments called for in paragraphs 3 (b) and 3 (c), the unpaid balance of said payments shall be made by the husband to the surviving children of the parties, or in the event any of said children shall be then deceased leaving issue such child surviving, such issue shall take in equal shares, per stirpes, the share which the child who shall be then dead would have taken if said child had survived. The estate of the wife shall have no claim for any of said unpaid amounts. Wife agrees that she shall establish a trust for the benefit of the children of the parties, or the issue [127]*127of any deceased children as above set forth, and that the amounts received by her on account of the obligations of the husband under 3 (b) and 3 (c) above shall be forthwith deposited with the trustee and added to and made a part of the principal of said trust fund.”

The record discloses that on October 2, 1981, four years after entry of the decree, the judgment was modified according to a trust agreement presented on that date. The trust was funded by a promissory note executed by the defendant on August 30, 1981, in the amount of $50,000 with interest at 15 percent per year to be paid in forty-eight equal installments. The judgment was opened and modified on January 7, 1982, by a stipulation dated December 28, 1981, which was accepted by the court. By this stipulation, the parties agreed to modify the method of payment of the $50,000 due “as lump sum alimony” by August 30, 1981, as follows: $10,000 on December 30, 1981; $15,000 by way of additional periodic alimony in forty-eight monthly installments; and $25,000 by way of a portion of the husband’s interest in land in Florida equal in value to $25,000 which was to be placed in trust by the husband for the benefit of the parties’ children. As a part of the stipulation, the parties agreed that “[t]he trust referred to in Paragraph 3 (l) of the Judgment entered on August 30, 1977, is hereby modified only insofar as the Fifty Thousand Dollars ($50,000.00) lump sum payment called for in paragraph 3 (b), and in its place Conrad John Kronholm shall establish a trust for the parties’ children which trust shall contain a portion of Conrad John Kronholm’s interest in the Florida land equal in value to Twenty-five Thousand Dollars ($25,000.00).”

The plaintiff caused to be served upon the defendant a citation for contempt in which she alleged that the defendant had not paid to her the sum of $190,000 which she alleged was due on or before August 30, 1985. Subsequently, the trial court rendered its eviden[128]*128tiary ruling on the plaintiffs citation for contempt in which it analyzed paragraph 3 (l) of the original stipulation. The court concluded that a reading of the entire agreement did not disclose any ambiguity or language reasonably subject to different interpretations. It pointed to the explicit language of paragraph 3 (l) that the “[w]ife agrees that she shall establish a trust . . . and that the amounts received by her . . . under 3 (b) and 3 (c) above shall be forthwith deposited with the trustee . . . .” It concluded that the language of paragraph 3 (l) was devoid of ambiguity and that the payments under 3 (b) and 3 (c) were to be made to the plaintiff and forthwith placed in trust for the benefit of the children. It sustained an objection by the defendant to a request for an evidentiary hearing and requested counsel for the parties to confer with the clerk regarding scheduling of the contempt motion.

Thereafter, the plaintiff filed a motion for compliance or, in the alternative, for clarification through an evidentiary hearing. She asserted that pursuant to paragraph 3 of the stipulation, the defendant was ordered to make a lump sum payment of $190,000 to the plaintiff by August 30, 1985, and that the last sentence of subparagraph 3 (l) provided that the $190,000 was to be deposited in a trust. She asserted further that numerous other provisions in the judgment make the meaning and intent of the $190,000 lump sum provision potentially ambiguous. She therefore sought an order either that she was entitled to the $190,000 lump sum amount free of any trust or that an evidentiary hearing be held for the purpose of clarifying the provision for payment of the $190,000 and its relationship to the trust provided for in 3 (l). This motion was denied.

On January 29,1987, the trial court issued its order on the citation for contempt. It found that the stipulation of the parties had been incorporated by reference [129]*129into the judgment of dissolution; that under section 3 (c) the defendant was ordered to pay to the plaintiff the sum of $190,000, which payment became due on August 30,1985, and had not been paid; that under section 3 (l) the plaintiff agreed to the establishment of a trust for the benefit of the children; and that the amount received by her under section 3 (c) would be deposited with the trustee and added to the trust fund. It further found that the defendant had not wilfully failed to comply with the 3 (c) provision of the agreement as incorporated in the judgment in view of the legal issues raised relating to the terms of the agreement. The court concluded that the defendant was not in contempt and made certain orders which both parties challenge on appeal.1

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Bluebook (online)
547 A.2d 61, 16 Conn. App. 124, 1988 Conn. App. LEXIS 341, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kronholm-v-kronholm-connappct-1988.